Nairobi, Feb. 24 -- Investors holding an 8.5-year infrastructure bond (IFB) are enjoying capital gains of more than 28.6 percent from the sale of the papers on the Nairobi Securities Exchange (NSE), riding on high demand for high-interest-rate securities amid falling returns on new issuances.

The bond, which is the most lucrative among the government's portfolio of debt securities and has an annual interest of 18.46 percent, saw its price touch a high of Sh128.57 per unit at the Nairobi Securities Exchange (NSE) secondary market on Friday.

When bonds are sold for the first time (primary sale) by the Central Bank of Kenya (CBK), they are split into units with a face or par value of Sh100 each, which can then be traded at the secondary ma...